Stock Markets May 22, 2026 02:29 PM

BP Returns to Table at Whiting Refinery With Amended Labor Offer

Updated proposal removes planned voluntary cuts and outlines multi-year pay gains plus lump-sum payments

By Caleb Monroe BP

BP has resumed negotiations at its Whiting refinery with the United Steelworkers Local 7-1 bargaining committee, presenting a revised contract proposal that withdraws a planned voluntary reduction of up to 42 maintenance craft employees. The company's offer includes an average 13% pay rise over the first four years of a proposed six-year agreement, a one-time lump-sum payment between $2,500 and $10,000 upon ratification, and compensation for roughly 65 union-represented employees impacted by the proposed changes.

BP Returns to Table at Whiting Refinery With Amended Labor Offer
BP

Key Points

  • BP resumed negotiations at the Whiting refinery with the United Steelworkers Local 7-1 bargaining committee and presented a revised settlement offer.
  • The updated proposal withdraws the prior plan for a voluntary reduction of up to 42 maintenance craft employees and includes an average 13% pay increase over the first four years of a proposed six-year contract, plus a one-time lump sum of $2,500 to $10,000 after ratification.
  • Approximately 65 union-represented employees who would have been affected by the earlier proposal would receive compensation under the revised terms.

BP has reopened talks with the United Steelworkers Local 7-1 bargaining committee at its Whiting refinery, delivering a revised settlement offer designed to bridge outstanding differences and move toward a finalized agreement. The company said the updated proposal removes a prior plan to allow a voluntary reduction of up to 42 maintenance craft employees - a change that directly addresses a central point raised by the union.

The proposal presented by BP lays out compensation terms for the membership under a proposed six-year contract. The package includes an average pay increase of 13% over the first four years of the agreement. In addition, employees would receive a one-time lump-sum payment ranging from $2,500 to $10,000 once the contract is ratified.

BP also said the updated settlement would provide compensation to about 65 union-represented employees who would be affected by the previously proposed changes. The company characterized the revisions as responsive to concerns brought forward by the union bargaining committee and framed the new offer as a step intended to secure a ratified agreement.

The return to the bargaining table follows discussions between BP and the Local 7-1 committee. The exact timeline for any ratification vote, or whether the committee will accept the revised terms, was not specified in the company statement. BP described the changes as a revised proposal aimed at reaching an agreement, signaling renewed engagement between management and the union representatives.

Key elements of the revised offer are focused on pay progression and one-time payments tied to ratification, with explicit acknowledgment of the need to address the status of employees who would have been affected by earlier proposals. BP noted the withdrawal of the voluntary reduction plan and the commitment to compensate the roughly 65 impacted union-represented workers as part of the updated terms.

At this stage, the revised offer has been formally presented to the bargaining committee. Further negotiation and any decision on ratification remain subject to the union's review and the ongoing bargaining process.


Related sectors: Energy - Oil & Gas; Labor Relations - Industrial Unions

Risks

  • Uncertainty remains whether the United Steelworkers Local 7-1 bargaining committee will accept and ratify the revised proposal - this negotiation outcome is not guaranteed and is central to the next steps.
  • The exact timeline for ratification and implementation of the proposed pay increases and lump-sum payments was not specified, leaving timing of any changes unclear.
  • While BP has stated it will compensate about 65 affected union-represented employees, the details and sufficiency of that compensation for those workers have not been elaborated in the company statement.

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